MindTree gains after strong Q1 results

MindTree rose 3.35% to Rs 1,269.90 at 9:36 IST on BSE after consolidated net profit rose 7.4% to Rs 138.20 crore on 6.9% growth in revenue to Rs 981.60 crore in Q1 June 2015 over Q4 March 2015.

The Q1 result was announced after market hours yesterday, 16 July 2015.

Meanwhile, the S&P BSE Sensex was up 58.56 points or 0.21% at 28,504.68.

On BSE, so far 21,000 shares were traded in the counter as against average daily volume of 15,000 shares in the past two weeks.

The stock hit a high of Rs 1,286.05 and a low of Rs 1,257.10 so far during the day.

In Dollar terms, MindTree's consolidated net profit rose 5.5% to $21.8 million on 4.8% growth in revenue to $154.90 million in Q1 June 2015 over Q4 March 2014.

MindTree said that the Board of Directors of the company has approved the acquisition of 100% equity interest in Bluefin Solutions ('Bluefin'), a leading UK based IT solutions provider specializing in SAP HANA solutions, in an all cash transaction for GBP 42.3 million, and the definitive agreements have also been signed on 16 July 2015. The consideration includes an upfront payment of GBP 34 million and earn out of GBP 8.3 million payable over the next three years.

MindTree's Board of Directors also approved the acquisition of 100% of the equity interest in Relational Solutions, Inc a US based IT solutions provider specializing in technology services to the consumer goods industry, in an all cash transaction for $10 million, and the definitive agreements have also been signed on 16 July 2015. The consideration includes an upfront payment of $7 million and earn out of $3 million payable over the next two years. This acquisition is subject to customary closing conditions and regulatory approvals, if any, MindTree said.

MindTree delivers digital transformation and technology services from ideation to execution enabling Global 200 clients to outperform competitors.

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